Pre-tax profits rise at Talbot group’s parent company
ACCOUNTS filed by the business behind the Talbot hotel group, Torski Ltd, indicate that the company’s pre-tax profits increased 11 per cent last year to €3.46 million.
The firm’s revenues rose in 2016, increasing three per cent from €120.4 million to €124 million, while the number of people employed by the company jumped from 972 to 1,028.
Torski recorded a 22 per cent rise in operating profits from €3.7 million to €4.55 million, with pre-tax profits amounting to €2.66 million after the payment of
€800,653 in corporation tax.
The company’s bank loans and overdrafts increased from €22 million to €29.5 million and the value of the firm’s tangible assets rose from €81.96 million to €89 million, with the value of investment properties rising from €1.1 million to €3.6 million. Torski’s accumulated profits totaled €59 million, while shareholder funds amounted to €64 million and Torski’s cash in 2016 increased from €5.7 million to €8.3 million.
‘ The results for the year and the financial position at year end were considered satisfactory by the directors, who expect continued growth in the foreseeable future,’ the directors said in a statement in the report. Torski operates the four-star Talbot hotels in Wexford, Carlow and Stillorgan and earlier this year acquired Newbay House.
AWhat happens when I access a DCP pension?? When you access a defined contribution pension you will typically be given the option of taking a tax-free lump sum from the pension, and in most cases you will be required to use the residual balance of the pension to either Purchase an Annuity or Invest in an ARF/AMRF (Approved Retirement Fund/ Approved Minimum Retirement Fund).
What is an annuity?
An annuity is a financial product whereby after taking your tax-free lump sum from your pension fund you elect to allow the insurance provider / pension provider (or another insurance provider / pension provider) to retain ownership of your residual pension fund and in return they will give you a guaranteed income for the rest of your life.
The obvious advantage here is the security of income but the disadvantage is that you will have to live a long and healthy life before you eventually get back the value of your residual fund by way of income over your lifetime. There are various add ons to annuities such as a partial spouse payment in the event of your death but the basic concept stays the same in that purchasing an annuity involves giving up ownership of your residual pension fund in return for a guaranteed income.
What is an ARF/AMRF?
An AMRF is an Approved Minimum Retirement Fund. An ARF is an Approved Retirement Fund. There are differences between the two but basically they are commonly used for those who decline the option of using their Pension to purchase an Annuity. In essence you instead opt to retain full ownership of your pension with a view to reinvesting it in order to produce an income in retirement and also to allow you the ability to pass any unused / unspent assets in the fund to your next of kin in the event of your death.
Can I withdraw an income from my ARF?
You have the option of taking income from the ARF fund as and when you see fit (subject to a minimum of 4% per annum from age 60).
Can I withdraw an income from my AMRF?
You can only draw 4% per annum maximum of the value of the AMRF each year until age 75. At age 75 the AMRF reverts to an ARF.
What happens to my ARF / AMRF if I die?
Any value contained in your ARF / AMRF Fund forms part of your estate on death.
What does my ARF invest in?
The range of investment options you had with your original pension fund are the exact same as your range of options for your ARF / AMRF.
Am I obliged to take out an annuity or ARF with the provider I have my defined contribution pension with currently?
No you are not. You can elect to deal with the same company or you can also elect to deal with any other company operating in the Irish market.